Dealing with a Repudiated Insurance Claim – What to do next

When you buy insurance, you buy a promise that when something goes wrong, subject to the terms and conditions of the cover, you will be put back in the same position you were in directly before the event. If when the time comes, and something goes wrong, and you need to make a claim it can be an emotional and stressful time, to then find out that the insurance company is not accepting liability only adds to the stress of the situation. The last thing you need to be doing is navigating this on your own, in this article we set out what you can do and how Morgan Clark can help you if your insurance company repudiates your insurance claim.

What is a repudiated claim?

A repudiated insurance claim is where the insurance company has refused to accept liability and as a result, the claim has been repudiated. This is where a claim is made and processed, but it is unpayable because the claim is not covered by the insurance policy in place. E.g. A claim is made when a pot of paint is accidentally dropped ruining a carpet, but the policyholder did not buy accidental damage insurance. The claim is repudiated.

Repudiated vs rejected: What’s the difference?

There is a lot of terminology used by insurers and it’s not always easy to understand. We try to make things a little clearer for you, setting out the differences between a repudiated claim and a rejected claim is a useful place to start.

A repudiated claim is where the insurance company will not accept liability because the insurer believes that the claim is not covered by the insurance in place.

A rejected home insurance claim is rejected before it is even processed, this could be because of a standard exclusion, a delay in making the claim, or non-disclosure for example if the insurer thinks you did not include all the information in your application for insurance or were not truthful.

What to do if your insurance claim is repudiated

If you feel that your claim should not have been repudiated, these steps can help you prepare to make a case to present to your insurer or loss adjuster.

1.      Check your policy documents

Your policy documents might hold the key to facts that could help you overturn the decision made by insurers. Did your insurer give you the right policy documents? If the wording is ambiguous make a note of it or if you can get a professional to check for you, a loss assessor or your broker if you have one, this can help your case.

2. Check your correspondence

The Insurance Act 2015 introduced the rule that insurance companies cannot reject your claim if you took reasonable care to answer their questions to the best of your knowledge. If they did not ask you, for something they are now using to repudiate the claim, note this down. Likewise, if you let them know of a change, find copies of the correspondence you sent them.

3. Take action – get an independent assessment

If you’ve done the research, it’s time to contact your insurance company and speak to or write to their complaints team, setting out the details of your complaint. They will then have to follow their complaints procedure, a copy of which will be included in your policy documentation.

If you’re not sure how to do this or need some support, contact Morgan Clark’s team of qualified loss assessors at 0808 304 4190, We have successfully settled insurance disputes on large, complex and challenging claims for over 30 years. We know the obstacles insurers will put in your way and we know how to beat them.

When we start working for you, we will take over all the paperwork and contact with your insurer and their team. While you focus on getting your life or business back on track, we will cover every detail of the case.

How do I contact the insurance ombudsman?

If you have had a response from your insurer and are still not happy with the outcome, you can take your complaint to the Financial Ombudsman Service. You can also go to the Ombudsman Service if the insurer does not respond for eight weeks or more.

The Financial Ombudsman Service will look at the claim from both sides and try to find a fair outcome based on the given documentation and evidence available. To find out if the Financial Ombudsmen can help you, you can use the online checker.

Useful Articles

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